Blair Pressure On SFO Saudi Inquiry

Judges to rule on BAE challenge

The High Court heard claims that ex UK prime minister Tony Blair put "irresistible pressure" on the Serious Fraud Office (SFO) to drop its inquiry into alleged corruption in arms deals between BAE Systems and Saudi Arabia. The pressure alleges a "gun held to the director's head" scenario from Blair and former Attorney General, Lord Goldsmith. Lord Justice Moses commented:

"I have seen nothing to suggest that anyone did anything but roll over."

A judicial review is being heard by Lord Justice Moses and Mr Justice Sullivan brought by the Campaign Against Arms Trade (CAAT) and Corner House Research, which campaigns on corruption and social justice issues. Representation for Corner House Research by Dinah Rose QC said Mr Blair "stepped over the boundaries of what was permissable" and wrongly interfered in a legal matter following threats by the Saudis over co-operation in national security issues and the possible scrapping of key orders. This SFO investigation was dropped in December 2006 and had centred on allegations of corruption between BAE and Saudi Arabia in the £43bn al-Yamamah deal of 1985, in which jets and other equipment were supplied by BAE.

It was alleged that influence was brought to bear by Blair and Goldsmith on the SFO to drop the case. BAE and the government were negotiating a key order for Typhoon fighters with the Saudis. Mr Blair was apparently only concerned with national security: the Saudis had threatened to stop co-operating in intelligence work. it is alleged that Robert Wardle (SFO director) had allowed threats to influence his decision to stop the enquiry and that the move violated Organisation For Economic Co-Operation and Development (OECD) anti-bribery convention. Saudi threats to cancel the Typhoon contract came after BAE discovered that the SFO was about to obtain details of various Swiss bank accounts. The threats were allegedly came from Prince Bandar, a national security adviser in Saudi Arabia, and his agents, who were being investigated by the SFO. It is alleged that Prince Bandar met with Foreign Office officials in London on 5th December 2006. The following day the prime minister's office informed the Attorney General that Mr. Blair wanted to make further representations before any offer of a possible 'plea bargain' was made to BAE. The government has denied any breach of the OECD anti-bribery convention.

Adapted from The Times, 15th February 2008.

• The problem with this type of action is that it appears to have the potential of achieving nothing. What can be done now other than at best show that the issue is proved or not as the case may be? Blair has gone and since both he and his wife are barristers, and having access to government solicitors, probably has the knowledge of just how far the elastic can be stretched before it gets broken. One possible way to prevent this type of situation is to try it at the time it is happening. What chance is there of that? Potential corruption in the making before it is actually made.